Classifications are refined and changed over time by regulatory bodies. Additionally, as technology and business models evolve, there may be more economical classifications that better fit you risk profile. Despite these factors, clients often simply roll their classifications from year to year changing only the exposure amounts.

Many businesses engage in operations that could fall under multiple classifications. The most accurate class code is not always the one applied by the insurance carrier. Each classification has a particular rating basis (Ex., area of a building, revenue, # of employees, projected payroll, etc.) and USI helps determine which are most appropriate. In many cases, businesses overpay for insurance when their operations are misclassified.

USI begins by developing a thorough understanding of the nature and evolution of work being performed along with aggregate associated revenues or payrolls. Next, we compare the results of our analysis to classification options to identify and value the financial impact of misclassified codes.

Finally, we communicate any changes to the insurer for approval and implement corrections prospectively as well as retrospectively.